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Attachment 

ADC 260 

ATTACHMENT TO ADC 260 

Revise DLMS and MILSTRAP to Support Intra-Army Logistics Reassignment (LR) 

Requirement, DLMS Supplement (DS) 846D, and DS 846S LR Transactions

(Supply/MILSTRAP)

1. ORIGINATOR: 

a. Service/Agency: Army Headquarters, United States Army Materiel Command 

b. Originator: Army, Logistics Modernization Program (LMP), commercial phone: 

856-988-4878 

2. FUNCTIONAL AREA: Supply 

3. REQUESTED CHANGE: 

 a. Title: Revise DLMS and MILSTRAP to Support Intra-Army Logistics Reassignment (LR) 

Requirement, DLMS Supplement (DS) 846D, and DS 846S LR Transactions 

(Supply/MILSTRAP) 

 b. Description of Change: 

(1) This requirement addressed by this ADC applies only for intra-Army logistics 

reassignment, i.e, LR from an Army Losing Inventory Manager (LIM) to an Army Gaining 

Inventory Manger (GIM). Within the Army, in addition to the Primary Inventory Control 

Activity (PICA), and the Secondary Inventory Control Activity (SICA), there are activities 

classified as an Army Class Management Activity (ACMA), which is the Army designated 

class managers of items assigned to the Defense Logistics Agency or the General Services 

Administration for integrated materiel management. Army indicates that the ACMA is 

synonymous with the SICA. Accordingly, the term SICA will be used throughout the 

remainder of this ADC. The SICA is authorized to stock materials based on usage, but is 

not the item manager. 

(2) Precedence for attributing assets to the two or, in the case of Army intra-Army 

LR, three quantity fields being identified in MILSTRAP DZC/DZD, and DLMS 846S, 

LR Storage Information Transaction: 

(a) When less assets are available than the total quantity in the LR Storage 

Information transaction (DZC). In accordance with MILSTRAP, the quantity the depot 

transfers in response to MILSTRAP DZC, is subject to the retention quantity identified in 

the DZC. Accordingly, when there are less assets available than the total quantity 

(retention quantity and transfer quantity) identified in the DZC transaction, the depot fills 

the retention quantity first, and transfers the remainder to the GIM. For intra-Army LR 

transactions containing third party (SICA) transfer quantity, Army indicates the SICA 

transfer quantity should be filled, and then the GIM transfer quantity. Hence, the order of 
2 of 10 

Attachment 

ADC 260 

precedence for filling the quantities in LR Storage Information Reply transactions 

(DZD/846S) for intra-Army LR containing 3 quantity fields is: 

[1] LIM retention quantity (846S QTY02/V1 ‘retention quantity’) 

[2] SICA requirement transfer quantity (846S QTY01/RY ‘requirement 

quantity’) 

[3] GIM transfer quantity (846S QTY01/V2 ‘available quantity’) 

(b) When more assets are available than the total quantity in the LR Storage 

Information transaction (DZC/846S), the additional assets are transferred to the GIM and 

reflected in the DZD GIM transfer quantity (and corresponding DS 846S LR storage 

information reply ‘available quantity,’ while the retention and SICA requirement quantity 

reflect the DZC (846S LR storage information order) quantities. 

(3) The Army is currently using Army-unique data elements in the DLSS 

MILSTRAP Transactions DEE, DEF, DZC, and DZD for intra-Army Logistics 

Reassignment (LR) transactions. This was accomplished using the MILSTRAP multiuse 

fields intended for intra-Component data. The Army’s formats citing the multiuse field 

data are identified in Army Regulation (AR) 725-50 (Requisitioning, Receipt, and Issue 

System), Tables E-269 (DEE, DEF), E-301 (DZC) and E-302 (DZD). Army requests the 

following DLMS revisions to support this existing Army DLSS requirement: 

(a) Add X12 ID 98 qualifier 55-Service Manager, to identify an activity 

other than the Losing Item Manager (LIM) within the same component or agency, as the 

LIM who is authorized to requisition and stock an item. This corresponds to rp 48-50 of 

the DLSS transactions DZC and DZD for intra-Army LR use. This qualifier is to be 

located in the N101/450 segment of the DLMS transaction 846S. 

(b) Authorize the use of the existing X12 qualifier Id 673 = RY 

(Requirement Quantity) to indicate the quantity transferred to the Secondary Item Control 

Activity (SICA) to meet existing requirements and could not be transferred to the Gaining 

Item Manager (GIM). This is located in rp 51-55 of the DLSS transactions DZC and DZD

for intra-Army LR use. This qualifier is to be in the QTY01/320 segment of the DLMS 

transaction 846S. 

(c) Add Logistics Qualifier LQ01 = 78 (Project Code). This is located in 

rp 57 - 59 on the DLSS MILSTRAP transactions DEE and DEF for intra-Army LR use. 

This qualifier is to be located in the LQ/270 segment of the DLMS 846D transaction. 

(d) Add Logistics Qualifier LQ01 = 84 (Management Code). This is 

located in rp 72 on the DLSS MILSTRAP transactions DEE and DEF for intra-Army LR

use. This qualifier is to be located in the LQ/270 segment of the DLMS 846D transaction. 
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Attachment 

ADC 260 

(4) Recommended all DOD Components review the intra-Army LR requirements 

approved by this change, to determine if they would be of value in your modernized systems. 

 c. Procedures: 

(1) Revise DOD 4000.25-2-M, MILSTRAP as follows: 

(a) Revise Appendix 3.11, DI Code DEE/DEF, rp 57-61 and rp 72. 

Changes identified by red, bold, italics: 

Multiuse 57-61 For intra-Component use, enter data prescribed 

by Component. For inter-Component use, leave 

blank.3

 

Multiuse 72 For intra-Component use, enter data prescribed 

by the Component. For inter-Component use, 

leave blank. 4

3 For intra-Army logistics reassignment, Army enters a project code in rp 57-61. (See ADC 260.)

4 For intra-Army logistics reassignment, Army enters a management code in rp 72. (See ADC 260.)

(b) Revise Appendix 3.58 and AP 3.59, DI Code DZC and DZD, rp 48-56. 

Change identified by red, bold, italics: 

Multiuse 48-56 Enter data prescribed by the Component.4

4 For intra-Army logistics reassignment, Army enters the RI Code of the Secondary Item Control 

Activity (SICA) in rp 48-50; and, the SICA requirement quantity in rp 51-55. (See ADC 260.) 

(2) Revise DLMS Supplement 846S as follows (rows 5-10 are administrative changes):

Item 

# 

Location Revision to 

846S, Logistics Reassignment Storage Transfer 

Order/Reply 

 (MILSTRAP DZC/DZD) 

Reason Federal IC 

Impact

1. DLMS 

Introductory Note: 

Add ADC 260 to DLMS Introductory note 6.

- ADC 260, Revise DLMS and MILSTRAP to 

Support Intra-Army Logistics Reassignment (LR) 

Requirement, DLMS Supplement (DS) 846D, and 

DS 846S LR Transactions (Supply/MILSTRAP). 

To identify DLMS 

changes included in the 

DS. 

No update 

needed. 
4 of 10 

Attachment 

ADC 260 

Item 

# 

Location Revision to 

846S, Logistics Reassignment Storage Transfer 

Order/Reply 

 (MILSTRAP DZC/DZD) 

Reason Federal IC 

Impact

2. 2/QTY01/320 Add new X12 qualifier “RY” with DLMS Note:

RY Requirement Quantity 

DLMS Note: Army uses for intra-Army LR in LR 

storage information order transactions, to identify 

quantity to be transferred to the SICA to fill open 

requirements. The distribution depot uses in LR 

storage information reply transactions to identify 

the quantity transferred to the Army SICA. Use of 

this data is meaningful to Army and DLA DSS 

only. For intra-Army LR under DLSS, this data is 

cited in multiuse rp 51-55 of MILSTRAP DI Codes 

DZC and DZD. Authorized Army/DLA DSS DLMS 

migration enhancement for use in intra-Army LR.

Needed to support 

Army’s DLMS 

Migration effort. 

Currently used in Army 

legacy system for intraArmy LR. 

No update 

needed. 

3. 2/QTY01/320 Revise DLMA note for existing qualifier V2:

V2 Available Quantity 

1. Use for LR storage information reply 

transactions to identify the quantity transferred to 

GIM ownership; otherwise, do not use. The 

quantity available for transfer is subject to the 

retention quantity cited in the LR storage 

information order. 

2. To reverse all or part of a previously submitted 

LR ownership transfer reply, use a minus sign in 

front of the quantity to be reversed. 

2. DLMS enhancement; see introductory DLMS 

note 5a.

Administrative updates 

to: 

1. Add clarification to 

quantity field, to note 

that it is subject to the 

retention quantity IAW 

the current MILSTRAP 

DZD Transfer Quantity 

field requirement 

(DZD, rp 25-29). 

2. Deletes erroneous 

DLMS enhancement 

note. Quantity 

available for transfer is 

part of MILSTRAP 

DZD, rp 25-29, and as 

such is not a DLMS 

enhancement.

MILSTRAP DZD, AP3.59 ,

rp 25-29 explanation reads: 

“Enter quantity which 

was available for transfer 

subject to the retention 

quantity contained in 

record positions 76-80 of 

DI Code DZC.” 

 

No update 

needed. 
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Attachment 

ADC 260 

Item 

# 

Location Revision to 

846S, Logistics Reassignment Storage Transfer 

Order/Reply 

 (MILSTRAP DZC/DZD) 

Reason Federal IC 

Impact

4. 2/N101/450 Add new X12 qualifier “55-Service Manager” 

with the following DLMS Note: 

55 Service Manager 

DLMS Note: Army uses for intra-Army LR to 

identify the Secondary Inventory Control Activity 

(SICA) as an authorized user of the material. 

When there are less assets available than 

indicated in the LR storage information order, 

Army requires that the SICA quantity be filled 

prior to the Army GIM transfer quantity. Use of 

this data is meaningful to Army and DLA DSS 

only. Army cites data in multiuse rp 48-50 of 

MILSTRAP DI Codes DZC and DZD. Authorized 

Army/DLA DSS DLMS migration enhancement for 

intra-Army LR use. 

A data maintenance action was approved in 

version 4030. The approved code/name is “SICSecondary Inventory Control Activity.” 

Needed to support 

Army’s DLMS Migration 

effort. Currently used in 

Army legacy system for 

intra-Army LR.

No update 

needed. 

ADMINISRATIVE UPDATES FOR DS 846S: 

Following are DLMSO recommended administrative updates for DS 846S while it is open for revision under ADC 260 

5. DS Title Change DS 846S title from, “Logistics 

Reassignment Storage Transfer/Order/Reply” to 

“Logistics Reassignment Storage Information 

Order/Reply”. 

Administrative update

To bring DS title in line 

with beginning segment 

report type codes 

identifying use of the 

transaction; and, with the 

corresponding DOD 

4000.25-M procedures 

which are being updated to 

reflect beginning segment 

purpose. 

Update 

Needed. 

6. 1/BIA02/020 Revise DLMS notes for qualifier PK and TQ to 

identify corresponding MILSTRAP DI Code. 

PK Storage Information Inquiry 

DLMS Note: Use to identify a Logistics 

Reassignment (LR) Storage Information Order. 

(MILSTRAP DI Code DZC functionality.) 

TQ Storage Information Advice 

DLMS Note: Use to identify an LR Storage 

Information Reply. (MILSTRAP DI Code DZD 

functionality.) 

Administrative update

To clarify “transaction” 

names used in DS and 

corresponding procedures, 

and to identify 

corresponding 

MILSTRAP DI Code 

functionality for 

consistency with other 

MILSTRAP related 

DLMS transactions. 

No update 

needed.
6 of 10 

Attachment 

ADC 260 

Item 

# 

Location Revision to 

846S, Logistics Reassignment Storage Transfer 

Order/Reply 

 (MILSTRAP DZC/DZD) 

Reason Federal IC 

Impact

7. 1/LQ01/150 MILSTRAP Administrator recommends deletion 

of qualifier 79-Priority Designator Code. 

Administrative update

For MILSTRAP, 

Administrator 

recommended change. 

Recommend deletion 

because Priority 

Designator is not part of 

the corresponding 

MILSTRAP DZC/DZD 

transaction, and is not 

identified as a DLMS 

enhancement in DS 846S. 

MILSTRAP 

Administrator believes it 

may have been added to 

transaction inadvertently. 

If nonconcurring with 

deletion, provide

business case/procedure 

for use of priority 

designator code in 

DS 846S. 

No update 

needed. 

8. 1/LQ01/150 

and 

 2/LQ01/376 

Revise DLMS notes for qualifier A9 to read as 

follows: 

A9 Supplemental Data 

DLMS Notes: 

1. Use to identify supplemental address/data. 

2. During the DLSS/DLMS transition, this field 

will be used to perpetuate/populate the DLSS 

Supplemental Address (SUPAAD) field. During 

this time, field size is restricted to 6 positions; see 

introductory DLMS note 5d. 

3. Expanded use of this field for supplemental data 

without size restriction is a DLMS enhancement; 

see introductory DLMS note 5a. 

4. Under full DLMS, the requirement to pass 

activity address information within the supplement 

data field will be streamlined. Activity address 

data previously contained in the SUPAAD will be 

reflected exclusively in the N1 segment. Future 

streamlined data; see introductory DLMS note 5c. 

Administrative update

To include standard 

DLMS notes used for 

qualifier A9 for 

consistency with other 

DS. 

No update 

needed. 
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Attachment 

ADC 260 

Item 

# 

Location Revision to 

846S, Logistics Reassignment Storage Transfer 

Order/Reply 

 (MILSTRAP DZC/DZD) 

Reason Federal IC 

Impact

9. 2/DTM01/100 Revise DLMS note for qualifiers 007, 036, and 

510 to read: 

007 Effective 

DLMS Note: Must use for LR storage information 

order transactions to identify the Effective 

Transfer Date (ETD); otherwise, do not use. 

036 Expiration 

DLMS Note: Use for LR storage information 

order transactions for subsistence items to identify 

the expiration date; otherwise, do not use.

510 Date Packed 

DLMS Note: Use for LR storage information 

order transactions for subsistence items to identify 

the date packed; otherwise, do not use. 

Administrative update

To clarify “transaction” 

names used in DS and 

corresponding procedures.

No update 

needed. 

10. 2/QTY01/320 Update transaction names used in qualifiers V1, 

V2, and V3. 

Change transaction name from “LR storage 

ownership transfer reply” to “LR storage 

information reply”. 

Change transaction name from “LR storage 

ownership transfer order” to “LR storage 

information order”. 

Administrative update

To clarify “transaction” 

names used in DS and 

corresponding procedures.

No update 

needed. 

(3) Revise DLMS Supplement 846D as follows (rows 4-9 are administrative changes): 

Item 

# 

Location Revision to 

846D, Logistics Reassignment Transfer and 

Decapitalization 

(MILSTRAP DI Code DEE/DEF) 

Reason Federal IC 

Impact 

1. DLMS Introductory 

Note: 

Added ADC 260 to DLMS Introductory note 6. 

- ADC 260, Revise DLMS and MILSTRAP to 

Support Intra-Army Logistics Reassignment (LR) 

Requirement, DLMS Supplement (DS) 846D, and

DS 846S LR Transactions (Supply/MILSTRAP). 

To identify DLMS changes 

included in the DS. 

No update 

needed. 
8 of 10 

Attachment 

ADC 260 

Item 

# 

Location Revision to 

846D, Logistics Reassignment Transfer and 

Decapitalization 

(MILSTRAP DI Code DEE/DEF) 

Reason Federal IC 

Impact 

2. 2/LQ01/270 Add qualifier “78” with DLMS note: 

78 Project Code 

DLMS Note: Army uses to identify the Project Code 

associated with LR actions. Use of this data is 

meaningful to Army only. In MILS, Army cites data in 

multiuse rp 57-59 of MILSTRAP DI Codes DEE and 

DEF. DLMS enhancement authorized for Army use. 

Other Components not using this data should 

ensure that inclusion of this data in a DLMS 

transaction does not cause inappropriate 

rejection of the transaction. For other than 

Army use, see introductory DLMS note 5.a. 

Needed to support Army’s 

DLMS Migration effort. 

No update 

needed. 

3. 2/LQ01/270 Added qualifier “84” with the following DLMS note: 

84 Management Code 

DLMS Note: Army uses for intra-Army LR to identify 

the Management Code associated with Logistics 

Reassignment actions. Use of this data is meaningful 

to Army only. Army cites data in multiuse rp 72 of 

MILSTRAP DI Codes DEE and DEF. DLMS 

enhancement authorized for Army use. Other 

Components not using this data should ensure 

that inclusion of this data in a DLMS 

transaction does not cause inappropriate 

rejection of the transaction. For other than 

Army use, see introductory DLMS note 5.a. 

Needed to support Army’s 

DLMS Migration effort. 

No update 

needed. 

ADMINISRATIVE UPDATES FOR DS 846D: 

Following are DLMSO recommended administrative updates for DS 846D while it is open for revision under ADC 260

4. 1/BIA02/020 Revise DLMS notes for qualifier TK and TL to 

identify corresponding MILSTRAP DI Code. 

TK Logistics Transfer Inquiry 

DLMS Note: Use to identify an LR 

transfer/decapitalization inquiry. (MILSTRAP 

DI Code DLA functionality.) 

TL Logistics Transfer Advice 

DLMS Note: Use to identify an LR transfer/ 

decapitalization transaction. (MILSTRAP DI 

Code DEE/DEF functionality.) 

Administrative update

For consistency with 

other MILSTRAP related 

DLMS transactions, to 

provide visibility of 

relationship between 

DLMS Report Type Code 

and corresponding 

MILSTRAP DI Code. 

No update 

needed. 
9 of 10 

Attachment 

ADC 260 

Item 

# 

Location Revision to 

846D, Logistics Reassignment Transfer and 

Decapitalization 

(MILSTRAP DI Code DEE/DEF) 

Reason Federal IC 

Impact 

5. 2/CS/240 Add segment level DLMS Note 2. 

DLMS Note 2. Use of CS segment is a DLMS 

enhancement. See DLMS introductory note 5.a. 

Administrative update

To identify that use of the 

CS segment is a DLMS 

enhancement. 

MILSTRAP DEE/DEF 

format does not allow for 

entry of a contract number 

and related information. 

No update 

needed. 

6. 2/CS04/240 Revise qualifiers 83 and C7 to remove DLMS 

enhancement note (DLMS note 2). 

Administrative update.

Use of any and all CS 

segment data would be a 

DLMS enhancement. 

Accordingly DLMS 

enhancement note is 

being added at segment 

level. Redundant and 

possibly misleading to 

also have note at specific 

qualifiers within the CS 

segment. 

No update 

needed. 

7. 2/LQ01/270 Add DLMS note 2 to qualifier 80-Advice Code: 

DLMS Note 2. DLMS enhancement. See 

DLMS introductory note 5.a. 

Administrative update

To identify that use of 

advice code is a DLMS 

enhancement. 

MILSTRAP DEE/DEF 

format does not have an 

advice code. 

No update 

needed. 

8. 2/LQ01/376 Revise DLMS note 1 to reflect that for the 

DLMS enhancement, see introductory DLMS 

note 5.a, rather than 4.a. 

Administrative update

To identify correct note 

DLMS enhancement. 

No update 

needed. 

9. 2/REF02/140 

 and 

2/LQ01/376 

Codes 83, 99 & A1 

Remove ‘SCA” from DLMS notes. Administrative update. 

‘SCA - Stock Control 

Activity’ is old 

terminology no longer 

used in MILSTRAP or 

corresponding DLMS 

procedures/transactions. 

No update 

needed. 

 d. Alternatives: None known. 

4. REASON FOR CHANGE: Documents and incorporates Army DLSS and DLMS 

requirements for data currently used in intra-Army Logistics Reassignment under DLSS 

using MILSTRAP multiuse fields intended for intra-Component data. Use of DS 846S may 

involve inter-Component interface between Army and the DLA Defense Distribution Depots. 
10 of 10 

Attachment 

ADC 260 

5. ADVANTAGES AND DISADVANTAGES: 

a. Advantages: Supports Army Logistics Modernization Program (LMP) 

implementation of DLMS migration effort to accurately track and record Logistics 

Reassignment actions within the Army. Documents in DOD MILSTRAP and DLMS an 

existing Army LR data requirement associated with Army use of MILSTRAP multiuse 

fields intended for intra-Component data. 

b. Disadvantages: None identified. 

6. IMPACT: 

a. Modify DOD 4000.25-2-M, MILSTRAP as shown in paragraph 3.c(1) above. 

b. Modify DLMS Supplements 846D and 846S as shown in change tables at 

paragraphs 3.c(2) and 3.c(3) above. 

c. Modify DOD 4000.25-M, DLMS, Volume 2, Chapter 9, Logistics Reassignment 

procedures with administrative updates as shown in the Enclosure. 

d. Modify DAASC conversion maps as needed. 

Enclosure
DoD 4000.25-M Volume 2 

ADC 260 Enclosure 

DLMS, Vol 2, Chap 9 Administrative Updates 

C9-1

C9. CHAPTER 9

LOGISTICS REASSIGNMENT

C9.1. GENERAL

 C9.1.1. Purpose. This chapter provides procedures designed to ensure successful 

Logistics Reassignment (LR) of both consumable and nonconsumable items, provide 

adequate management control of items in a transitional situation, and ensure uninterrupted 

supply support of items during the transition period. 

C9.1.2. Transactions. This chapter addresses the procedures to the following ASC 

X12 transaction functions identified by their beginning segment and report type code. 

Other DLMS formats, such as XML, are also available. See the DLMSO website for 

available DLMS formats: http://www.dla.mil/j6/dlmso/elibrary/TransFormats/140_997.asp. The corresponding MILSTRAP 

transaction functionality is identified for information purposes in a mixed DLSS/DLMS 

environment. 

 C9.1.2.1. LR Management Data Transaction is DS to Federal IC 536L 

identified by beginning segment (1/BR02/020) Transaction Type Code LR – Logistics 

Reassignment. This transaction provides MILSTRAP DI Codes DLS, DLT, DLU, DLV, 

DLW, and DLX functionality. 

 C9.1.2.2. LR Transfer/Decapitalization Transaction is DS to Federal IC 

846D identified by beginning segment (1/BIA/020) Report Type Code TL – Logistics 

Transfer Advice. This transaction provides MILSTRAP DI Code DEE/DEF 

functionality. 

 C9.1.2.3. LR Transfer/Decapitalization Inquiry Transaction is DS 846D 

identified by beginning segment (1/BIA/020) Report Type Code TK – Logistics Transfer 

Inquiry. This transaction provides MILSTRAP DI Code DLA functionality. 

 C9.1.2.4. LR Storage Information Order Transaction is DS to Federal IC 

846S identified by beginning segment (1/BIA/020) Report Type Code PK – Storage 

Information Inquiry. This transaction provides MILSTRAP DI Code DZC functionality. 

 C9.1.2.5. LR Storage Information Reply Transaction is DS 846S identified by 

beginning segment (1/BIA/020) Report Type Code TQ – Storage Information Advice. 

This transaction provides MILSTRAP DI Code DZD functionality. 

 C9.1.3. LR Process. To ease understanding of these procedures, the LR process has 

been divided into three periods of time based upon the effective transfer date (ETD). These 

periods are identified as pre-ETD, ETD, and post-ETD. The pre-ETD period commences 

on the date the GIM assignment/ETD is sent to the GIM/LIM and terminates at ETD. ETD 

is the date of the LR. Although ETD is a specific point in time, for the purpose of these 

procedures, any actions involving data requirements that show conditions as of the ETD 
DoD 4000.25-M Volume 2 

ADC 260 Enclosure 

DLMS, Vol 2, Chap 9 Administrative Updates 

C9-2

shall be discussed as if such actions took place on the ETD, even though they may have 

been taken immediately before or after the actual ETD. The post-ETD period begins 

immediately following the ETD and includes all actions that do not specifically involve 

data requirements that show conditions as of the ETD. Specific events required to take 

place during the LR are set forth under the appropriate period. 

 C9.1.3.1. The LIM shall use an LR Management Data Transaction to provide 

the GIM with general management information, backorder and demand data, on hand data, 

due-in data, contract history data, and product quality deficiency report (PQDR) history 

data for consumable assets being logistically reassigned. 

 C9.1.3.2. The LIM shall use an LR Transfer/Decapitalization Transaction to 

notify the GIM of the transfer and decapitalization quantities for the item being logistically 

reassigned. The GIM shall use an LR Transfer/Decapitalization Inquiry Transaction to 

inquire about LR transfer/decapitalization quantities when none was received. 

 C9.1.3.3. The LIM shall send an LR Storage Information Order Transaction 

to the storage activity to notify them to transfer ownership of wholesale stocks to the GIM 

and of the quantity which the LIM is retaining. Storage activities shall send an LR 

Storage Information Reply Transaction to the LIM to notify the LIM of the quantities the 

storage activity actually transferred to GIM ownership and those retained in LIM 

ownership. 

C9.2. POLICY. DoD policy for LR of consumable items is contained in DoD 4140.26-M. 

DoD policy for LR of nonconsumable items is contained in AMC-R 700-

99/NAVSUPINST 4790.7/AFLCR 400-21/MCO P4410.22. 

C9.3. REQUIREMENTS

 C9.3.1. General. The LIM, GIM, and storage activities shall accomplish the actions 

required by this manual to reassign asset management to the GIM in a timely manner to 

ensure uninterrupted supply support. Resolution of problems affecting supply operation 

requires direct communication, coordination, and assistance. 

 C9.3.2. GIM. The GIM shall accept, as of the ETD, those items and book balances 

submitted by the LIM. (The following policy covering transfer of assets for LR is 

implemented from DoD 4140.26-M and AMC-R 700-99 et al., respectively.) The LIM 

shall transfer all on-hand wholesale balances, in place, except: 

 C9.3.2.1. Assets committed to the support of special projects, programs, and/or 

plans including the International Logistics Program (ILP), e.g., staged shipments, packaged 

shipments. On hand wholesale assets in support of the ILP shall not be transferred to the 

GIM nor shall any ongoing procurement action in support of the ILP be terminated. 

 C9.3.2.2. Consumable assets in SCCs F, H, J, K, L, M, P, Q, R, S, and W. (See 

DoD 4140.26-M for complete criteria.) 
DoD 4000.25-M Volume 2 

ADC 260 Enclosure 

DLMS, Vol 2, Chap 9 Administrative Updates 

C9-3

 C9.3.2.3. Nonconsumable assets in SCCs G, H, J, K, L, M, and P. SCCs H and 

P material shall never be decapitalized. (See AMC-R 700-99 et al., for complete criteria.) 

 C9.3.3. LIM. On an expedited basis the LIM shall decapitalize to the GIM wholesale 

assets, other than the SCCs shown above, generated during the first year following ETD. 

The LIM shall report assets generated after one year of ETD under Chapter 11, material 

returns program procedures. Except for decapitalization of procurement receipts, the GIM 

shall reject assets decapitalized more than one year after the ETD using Reject Advice 

Code AW. 

C9.4. PRE-ETD ACTIONS

 C9.4.1. General

 C9.4.1.1. The LIM procurement office shall provide the GIM with contractual 

status on contracts either retained by the LIM or assigned to the Defense Contract 

Management Agency (DCMA) for contract administration. Contract status includes, but is 

not limited to, delivery status, acceleration of delivery, follow-up status requests, contract 

warranty provisions, and executing appropriate modifications to basic contracts. 

 C9.4.1.2. For nonconsumable items, the LIM shall give the GIM listings of all 

purchase requests (procurement actions that have not reached the award stage) throughout 

the pre-ETD period. The GIM shall, within 15 calendar days following receipt of the 

purchase request listing from the LIM, annotate required changes, and return one copy to 

the LIM. For consumable items, the LIM shall send listings of all purchase requests to the 

GIM 45 calendar days prior to the ETD in the format established by DoD 4140.26-M. 

 C9.4.1.3. The LIM shall reclassify consumable assets, in SCCs Q and R, to the 

appropriate SCC before the LIM sends the GIM an updated LR Management Data 

Transaction. 

 C9.4.1.4. For assets in SCC H, the LIM shall either forward the assets to 

DRMO or reclassify the item to its true condition as authorized by Chapter 7. 

 C9.4.2. One hundred and fifty calendar days prior to ETD, or upon notification if less 

than 150 calendar days, the LIM shall take the following actions: 

 C9.4.2.1. Advise the GIM of assets being held for litigation. 

 C9.4.2.2. Perform physical inventories under Chapter 6 procedures, as stated in 

DoD 4140.26-M for consumable items, and AMC-R 700-99 et al., for nonconsumable 

items, as follows: 

 C9.4.2.2.1. For consumables, inventory stock on hand for wholesale 

assets designated as classified or sensitive. 

 C9.4.2.2.2. For nonconsumables, inventory on-hand wholesale assets. 
DoD 4000.25-M Volume 2 

ADC 260 Enclosure 

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 C9.4.3. One hundred and twenty calendar days prior to ETD, or upon notification if 

less than 120 calendar days, for consumable items being transferred, the LIM shall send the 

GIM an LR Management Data Transaction containing backorder and demand data, onhand data, due-in data, and contract history data. Do not provide PQDR history data at this 

time. 

 C9.4.4. Sixty calendar days prior to ETD, the LIM shall process excess reports 

received for LR items for which DRMO action is appropriate, in accordance with 

Chapter 11 procedures. 

 C9.4.5. Forty-Five Calendar Days Prior to ETD

 C9.4.5.1. By mutual agreement between the GIM and the LIM, the LIM shall 

initiate action to amend existing LR item contracts/purchase orders not reassigned to the 

GIM, to provide for diversion of stock by quantities into distribution depots of the GIM. 

The GIM shall send addresses of the shipping destinations to the LIM, as appropriate. The 

LIM shall retain the due-in. 

 C9.4.5.2. For consumable items, the LIM shall send listings of all purchase 

requests in accordance with DoD 4140.26-M. The GIM will, within 15 calendar days 

following receipt of the purchase request listing from the LIM, annotate required changes 

and return one copy to the LIM. 

 C9.4.6. Thirty Calendar Days Prior to ETD. The LIM shall take the following 

actions: 

 C9.4.6.1. Mail the GIM a WMR data listing sorted by NSN and the DoD 

Component (and DoDAAC within the DoD Component when the requirements have been 

allocated), major to minor, showing the current computed data. 

 C.9.4.6.1.1. Include the quantity and value of the forecasted reparable 

return data, if applicable; quantity and value of Balance War Reserves (Other War Material 

Requirement (OWMR); Other War Reserve Material Requirement (OWRMR); OWRMR, 

Protectable (OWRMRP); Pre-Positioned War Reserve Material Requirement (PWRMR); 

PWRMR, Protectable (PWRMRP)); dollar value subtotals for FSC, DoDAAC if allocated, 

and the DoD Component; and grand total dollar value. 

 C9.4.6.1.2. Additionally, send DS to Federal IC 830W, War Material 

Requirements, to the GIM to show original input from which the WMR computed data was 

generated. The GIM shall process DS 830W to recompute the WMR data as described in 

Chapter 3. 

 C9.4.6.2. For consumable items, send the GIM an updated LR Management 

Data Transaction containing backorder and demand data, on-hand data, due-in data, and 

contract history data. Do not provide PQDR history data at this time. Send the GIM the 

latest status of assets being held for litigation action. 

C9.5. ETD PERIOD ACTIONS. The LIM shall do the following at ETD: 
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 C9.5.1. Send an LR Storage Information Order Transaction to the storage 

activities as a notification that wholesale stocks stored are now under GIM ownership. 

 C9.5.2. Process inventory adjustments to decrease the inventory control record using 

DS to Federal IC 947I. 

 C9.5.3. Prepare and send to the GIM LR Transfer/Decapitalization Transaction by 

SCC and location. Telephone communication between the GIM and LIM is authorized to 

resolve transactions that reject from the validation process. To preclude inquiries when 

there are no on-hand assets available for transfer, the LIM shall send a 

LR Transfer/Decapitalization Transaction to the GIM for a zero quantity as either a 

transfer or a decapitalization, based on the following: 

 C9.5.3.1. LR transfers are used for permanent transfers, without reimbursement 

of cost, of inventory within the same fund division (the LIM has a transfer-out and the GIM 

has a corresponding transfer-in). 

 C9.5.3.2. LR decapitalizations are used for permanent transfers, without 

reimbursement of cost, of inventory between different fund divisions, or chartered 

subdivisions within the fund (the LIM has a decapitalization and the GIM has a 

corresponding capitalization). 

 C9.5.4. Give memorandum due-in information to the GIM and advance receipt 

information (ARI) to the distribution depot in accordance with Chapter 12. 

 C9.5.5. Send the GIM storage activity a DS 527D ARI for each due-in from 

procurement on which the destination has changed to the GIM. In addition, send the LIM 

storage activity a reversal DS 527D ARI to delete the ARI. 

 C9.5.6. Do transfer of backorders to the GIM using referral/passing orders in 

accordance with requisitioning procedures. Backorders transferred between DoD 

Components will be funded. 

 C9.5.7. For consumable items, send the LR Management Data Transaction

containing PQDR history data. Send data for completed PQDRs only and include all 

PQDRs completed up to 3 years prior to the ETD. Do not provide backorder and demand 

data, on-hand data, due-in data, or contract history data at this time. 

 C9.5.8. Transfer funded backorders to the GIM in accordance with DoD 4140.26-M. 

 C9.5.9. For items with SPR, prepare and send DS to Federal IC 870L, Order Status 

Report (SPR/LASE Status), to the forecasting activity as outlined in Chapter 2. 

 C9.5.10. For asset availability, advise the GIM of the latest data available on assets 

being held for litigation action. 

C9.6. POST-ETD ACTIONS
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 C9.6.1. Storage Activity Action. The storage activity shall prepare an LR Storage 

Information Reply Transaction within 5 working days of receipt of an LR Storage 

Information Order Transaction advising the LIM of the quantity transferred to GIM 

ownership. If the storage activity does not receive an LR Storage Information Order 

Transaction, the storage activity shall prepare and send the LIM an LR Storage 

Information Reply Transaction showing each balance by SCC. 

 C9.6.2. GIM Actions

 C9.6.2.1. Inventory Adjustment. Convert valid LR Transfer/Decapitalization 

Transactions received from the LIM to inventory adjustments using DS 947I, to establish 

or increase inventory balances. (This action is not required upon receipt of an LR 

transfer/decapitalization with a zero quantity.) The GIM may automatically reject invalid 

LR transfer/decapitalization transactions. Telephone communication between the GIM and 

LIM is authorized to resolve LR transfer/decapitalization transactions that reject from the 

validation process. 

 C9.6.2.2. Memorandum Due-InTransactions. Process valid DS 527D

memorandum due-in transactions, received from the LIM in accordance with Chapter 12. 

 C9.6.2.3. Transaction Rejections. If in receipt of an LR 

Transfer/Decapitalization Transaction or DS 527D memorandum due-in for an item not 

involved in an LR, reject the incorrectly reported transactions back to the initiator using DS 

824R, Reject Advice, citing Reject Advice Code AY. 

 C9.6.2.4. Reconsignment Instructions. When appropriate, give reconsignment 

instructions to the LIM for items due-in from undelivered contracts of the LIM. Report 

receipts from these contracts following the ETD in accordance with Chapter 13. 

 C9.6.2.5. LR Transfer/Decapitalization Reversals. Accept and process 

reversals of LR Transfer/Decapitalization Transactions, adjust their management and 

financial records, and discontinue processing any other transactions against the LR assets 

until the GIM processes new LR Transfer/Decapitalization Transactions from the LIM. 

 C9.6.3. LIM Actions

 C9.6.3.1. Updating Due-Ins. The LIM shall update the memorandum due-in 

and ARI in accordance with Chapter 13, as necessary, to include the following actions: 

 C9.6.3.1.1. Changing the destination of undelivered purchases upon 

request of the GIM. 

 C9.6.3.1.2. Awarding an unawarded purchase request. 

 C9.6.3.2. Litigation Procedures. The LIM shall enter litigation proceedings on 

all items in SCC L which are either on hand at ETD or later received by either the GIM or 

LIM on LIM negotiated contracts. The LIM shall notify the GIM of actions being taken to 

resolve the litigation actions. 
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 C9.6.3.3. Condition Change. When an item previously transferred to the GIM 

is restored to an issuable condition, or when inspection of stock on hand reveals a change in 

condition of the material, the GIM shall be notified of the condition transfer using DS 947I. 

 C9.6.3.4. Preparation of Storage Information. The LIM’s storage activity shall 

send a LR Storage Information Reply Transaction within 5 working days of the ETD 

advising the LIM of the quantity transferred to GIM ownership. If the LIM’s storage 

activity does not receive a LR Storage Information Order Transaction, the storage 

activity shall send the LIM a LR Storage Information Reply Transaction showing each 

balance by SCC. 

 C9.6.3.5. LIM Processing of a LR Storage Information Reply. Upon receipt 

of the LR Storage Information Reply Transaction, the LIM will review the quantity. 

When the transfer quantity in the reply is greater than the transfer quantity shown in the 

order, the LIM shall transfer/decapitalize the additional quantity to the GIM on a new LR 

Transfer/Decapitalization Transaction. When the transfer quantity in the reply is less than 

the transfer quantity in the order, the LIM shall: 

 C9.6.3.5.1. Within 24 hours of receipt of the reply, initiate action to 

reverse the LR Transfer/Decapitalization Transaction, previously submitted for that 

location and SCC, by the difference between the LR Storage Information Order and reply 

transfer quantities. 

 C9.6.3.5.2. Conduct research, and/or request a special inventory when 

deemed appropriate. 

 C9.6.3.5.3. Determine whether the quantity reported by the distribution 

depot is correct (based on the best data available after research/inventory). If research 

shows the quantity reported was not correct the LIM shall process a partial reversal, or LR 

Transfer/Decapitalization Transaction and a LR Storage Information Order 

Transaction, as needed, containing new document reference numbers with the revised 

quantity. 

 C9.6.3.5.3.1. Complete these actions within 30 calendar days after 

the ETD to prevent a long time lag between the ETD and corrective action. If extenuating 

circumstances prevent a LIM from accomplishing this task within 30 calendar days, notify 

the GIM of the problem and expected date when the problem should be resolved (not to 

exceed 60 calendar days past the ETD). 

 C9.6.3.5.3.2. If an LR Storage Information Reply Transaction

contains a transferable quantity on an item the LIM provided an LR 

Transfer/Decapitalization Transaction with a zero balance, the LIM shall send a new LR 

Transfer/Decapitalization Transaction to the GIM showing the appropriate quantity, SCC, 

and location. In this situation, the LIM shall not prepare an LR Transfer/Decapitalization 

Transaction reversal. 

 C9.6.3.6. Ninety Calendar Days after ETD. For consumable items, the LIM 

shall send the GIM an updated LR Management Data Transaction containing contract 
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history and PQDR history data. Give data for PQDRs completed between the ETD and the 

ETD plus 90 calendar days only. Do not give backorder and demand, on hand, or due-in 

data at this time. 

 C9.6.3.7. One Hundred and Eighty Calendar Days after ETD. For consumable 

items, the LIM shall send the GIM an updated LR Management Data Transaction with 

PQDR history data. Give data for PQDRs completed between the ETD plus 90 calendar 

days and the ETD plus 180 calendar days only. Do not give backorder and demand, on 

hand, due-in, or contract history data at this time. 

 C9.6.3.8. Two-Hundred and Seventy Calendar Days after ETD. For 

consumable items, the LIM shall send the GIM an updated LR Management Data 

Transaction containing contract history and PQDR history data. Give data for PQDRs 

completed between the ETD plus180 calendar days and the ETD plus 270 calendar days 

only. Do not give backorder and demand, on-hand, or due-in data at this time. 

C9.7. RECEIPT PROCESSING AFTER ETD. Storage activities shall process receipts 

after the ETD in accordance with Chapter 13. 

 C9.7.1. Receipts from Procurement. 

 C9.7.1.1. Upon receipt of assets from procurement by either the GIM or LIM 

storage activity, send a DS 527R receipt to the LIM. 

 C9.7.1.2. Procurement receipts received after 1 year past the ETD shall be 

processed by the LIM and GIM in the same manner that procurement receipts would be 

processed when received during the ETD to 1 year period. 

 C9.7.1.3. When the LIM receives a receipt transaction from the storage activity

for an item that was logistically reassigned, the LIM shall: 

 C9.7.1.3.1. Process the receipt to reduce the due-in record, record the 

assets on the LIM owner record. 

 C9.7.1.3.2. Decrease the LIM owner record using DS 947I, Inventory 

Adjustment Transaction, in accordance with Chapter 7. 

 C9.7.1.3.3. Send DS 527R, Memorandum Receipt Transaction, to the 

GIM. 

 C9.7.1.3.4. Send an LR Transfer/Decapitalization Transaction, in 

accordance with section C9.5, and include transaction number or contract number (and 

related data: Contract Line Item Number (CLIN), Exhibit Line Item Number (ELIN), and 

call or order number), from the associated receipt transaction, to establish an audit trail 

between the receipt and its following transfer/decapitalization. 

 C9.7.1.3.5. Send an LR Storage Information Order Transaction to the 

distribution depot in accordance with section C9.5. 
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 C9.7.1.3.6. Process receipts for which litigation is required in accordance 

with Chapter 13. 

 C9.7.1.4. If no DS 527D ARI is recorded, the storage activity shall report 

material received from procurement sources in accordance with Chapter 13. 

 C9.7.1.5. The GIM will: 

 C9.7.1.5.1. Use an LR Transfer/Decapitalization Transaction to record 

the assets on the GIM owner record and to reduce the memorandum due-in record in 

accordance with Chapter 13. 

 C9.7.1.5.2. If a, LR Transfer/Decapitalization Transaction is received 

for an item not involved in an LR, the GIM shall reject the transaction back to the initiator 

using DS 824R citing Reject Advice Code AY. 

 C9.7.1.5.3. If assets from procurement are received for which there are no 

ARIs at the receiving storage activity, the receiving activity shall report the receipt to the 

appropriate IMM. If the GIM does not have a recorded due-in and the item was recently 

involved in an LR, the GIM should research/contact the LIM to determine proper reporting 

of the receipt to maintain accountability accuracy. If the procurement receipt is incorrectly 

reported to the LIM (and the LIM did not initiate the procurement action), the LIM should 

reject the receipt back to the originator with a DS 824R citing Reject Advice Code AB. 

 C9.7.2. Receipts From Other Than Procurement

 C9.7.2.1. The LIM’s storage activity, upon receipt of assets from other than 

procurement, shall send DS527R receipt to the LIM. 

 C9.7.2.2. The LIM shall: 

 C9.7.2.2.1. Process the storage activity initiated receipt to reduce the duein record and record assets on the LIM inventory record for the quantity received. 

 C9.7.2.2.2. Decrease the inventory control record using DS 947I. 

 C9.7.2.2.3. Send DS 527R, Memorandum Receipt Transaction, to the 

GIM. 

 C9.7.2.2.4. Send an LR Transfer/Decapitalization Transaction to the 

GIM.

 C9.7.2.3. The GIM shall process the D527R, Memorandum Receipt 

Transaction, to reduce the memorandum due-in record, and shall use the LR 

Transfer/Decapitalization Transaction to record assets on their inventory record for the 

quantity received. 

 C9.7.2.4. If no ARI is recorded, the storage activity will report material 

received from nonprocurement sources following Chapter 13. 
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C9.8. INQUIRY FOR LOGISTICS REASSIGNMENT ASSET DATA AND RESPONSE

 C9.8.1. LR Transfer/Decapitalization Inquiry. The GIM shall send an inquiry to the 

LIM, using a LR Transfer/Decapitalization Inquiry Transaction, for all assets logistically 

reassigned for which they received no LR Transfer/Decapitalization Transaction. 

 C9.8.2. LIM Response. The LIM shall send the necessary LR Transfer/ 

Decapitalization Transaction or a duplicate thereof. 

C9.9. DUE-IN VALIDATION. See Chapter 12, for due-in inquiry and reconciliation 

procedures.